Late Friday Moody's downgraded the European Stability Mechanism's debt issuer rating to Aa1 from...

|By:, SA News Editor

Late Friday Moody's downgraded the European Stability Mechanism's debt issuer rating to Aa1 from Aaa, citing the "high correlation in credit risk among the entities' supporters," and maintained its negative outlook. Still, Moody's notes the rating remains "extremely high" due to the facility's low leverage and the creditworthiness of its members.